Gray/parallel market vehicles are not protected by the or Federal lemon law. Gray/parallel market vehicles are imported into the United States through a channel other than an authorized US distributor of a manufacturer and are subject to odometer fraud. They do not carry a valid express warranty and would be lacking in parts and accessories and instruction manuals in English.
Why is the ownership of a gray/parallel market vehicle deemed precarious?
* Unlike an automobile intended for sale in the US, the gray/parallel market vehicles are not protected under the manufacturers warranty * Gray/parallel imports are generally used vehicles, although some are new * They generally carry no certified warranty or the original factory warranty and are typically not eligible for extended warranties * A gray/parallel vehicle often does not meet the US standards and carries no manufacturer warranty * These vehicles are not manufactured for retail sales in the United States * They are not authorized to be resold by a manufacturer or a distributor * Gray/parallel market vehicles are also subject to recalls
Some of the most popular Japanese vehicles and, BMW and Mercedes-Benz are also available in the gray/parallel market.
In 1998, the NHTSA granted exemption from the rules for gray/parallel market vehicles aged over 25 years, since these are considered to be collector vehicles.
Generally, many gray/parallel market vehicles carry no warranty coverage. Some manufacturers may offer warranty coverage on certain gray/parallel market vehicles. California requires a gray/parallel market retailer to inform a potential buyer of its warranty eligibility status if a vehicle is not covered by a manufacturers express written warranty. According to California laws:
* A gray/parallel market vehicle must have a sign prominently displayed next to it while it is on sale * It should also be disclosed if the vehicle is not covered by a manufacturers express written warranty valid in the United States, through a prominently displayed ticket, label or tag * This sign is absolutely necessary if the vehicle has electrical currents and broadcast frequencies which are not compatible with those of the United States * A sign will be of help to a buyer if replacement parts are not available through the manufacturers United States dealers * An instruction manual in English should be provided with the said vehicle * If the vehicle is eligible for a manufacturers rebate it should be disclosed by the seller * The presence of any incompatibility or nonconformity to domestic standards as known to the seller, should also be disclosed by him
Information given above is not intended as legal advice. You may continue your lemon law claim or any other contention with your automobiles by contacting California Lemon Law attorneys of Krohn & Moss Ltd., or Call 1-800 US LEMON (800-875-3666) toll free, to reach Krohn & Moss for your FREE initial consultation.
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